ACIT, New Delhi V. M/s A.R. Leasing Pvt. Ltd., New Delhi

ITA 284/DEL/2017

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 4771 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 9 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-11-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2009-2010
• Appeal Filed On: 18-01-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANJAY GOYAL
• Section: 143(3); 153A; 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH A, NEW DELHI BEFORE MS. SUSHMA CHOWLA, JUDICIAL MEMBER DR. B. R. R. KUMAR, ACCOUNTANT MEMBER ITA NO. 284/DEL./2017 : ASSTT. YEAR : 2009-10 ASSTT. COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-27, NEW DELHI-110055 VS M/S A. R. LEASING PVT. LTD., 305, 3 RD FLOOR BHANOT CORNER, PAMPOSH ENCLAVE, G.K.-1, NEW DELHI (APPELLANT) (RESPONDENT) PAN NO. A A A CA0423A ASSESSEE BY : SH. M. P. RASTOGI, ADV. REVENUE BY : SH. SANJAY GOYAL, CIT DR DATE OF HEAR ING: 01 . 10 .201 9 DATE OF PRONOUNCEMENT: 05.11.2019 ORDER PER DR. B. R. R. KUMAR, ACCOUNTANT MEMBER: THE PRESENT APPEAL HAS BEEN FILED BY THE REVENUE A GAINST THE ORDER OF THE LD. CIT(A)-29, NEW DELHI DATED 20. 10.2016. 2. FOLLOWING GROUND HAS BEEN RAISED BY THE REVENUE: THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN DELETING THE ADDITION OF RS. 6,99,60,000/- MADE U/S 68, WITHOUT APPRECIATING THE FACTS THAT THE ASSESSE E FAILED TO ESTABLISH THE IDENTITY AND CREDITWORTHINE SS OF THE CREDITOR AND GENUINENESS OF TRANSACTION. 2. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) FAILED APPRECIATE THE FACT S THAT M/S ADHYAY EQUIPREF PVT. LTD. HAS OPENING BALANCE AT RS. 48357/- AS ON 3.4.2008 & AMOUNT OF RS. 11,99,75,000/- WAS CREDITED BETWEEN 3.4.2008 TO 8.4.2008. OUT OF THE ABOVE AMOUNT RS. 6,00,00,000/- WAS PAID FOR THE SHARE APPLICATION MONEY TO M/S ITA NO. 284/DEL/2017 A.R. LEASING PVT. LT D. 2 ANSHIKA INVESTMENT PVT. LTD. BOTH COMPANIES BEING SISTER CONCERNS. 3. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF TH E CASE, THE LD. CIT(A) FAILED TO APPRECIATE THE FACTS THAT SIMILAR PATTERNS OF BANKING TRANSACTION HAVE BEEN OBSERVED IN THE BANK ACCOUNT OF THE OTHER SUBSCRIBING ENTITIES I.E. M/S RUPALI SAREES, M/S JAGDAMBA DESIGNERS PVT. LTD., M/S ANCHOR VINIMAY PVT. LTD. AND M/S KHUSBOO BEARING PVT. LTD. IT IS BEYOND IMAGINATION AS TO WHY ANY PRUDENT BUSINESS ENTITY WOULD INVEST IN ANY CONCERN AFTER PAYING SUC H HUGE PREMIUM. A) M/S RUPALI SAREE PVT. LTD. RS. 24,80,000/- B) M/S JAGDAMBA DESIGNERS PVT. LTD. RS. 24,80,000/ - C) M/S ANCHOR VINIMAY PVT. LTD. RS. 30,00,00 0/- D) M/S KHUSBOO BEARING PVT. LTD. RS. 20,00,000 /- TOTAL RS. 99,60,000/- 4. THAT THE ORDER OF THE CIT(A) IS PERVERSE, ERRONE OUS AND IS NOT TENABLE ON FACTS AND IN LAW. 5. THAT THE GROUNDS OF APPEAL ARE WITHOUT PREJUDICE TO EACH OTHER. 3. ALL THE GROUNDS ARE INTER-RELATED. 4. HEARD THE ARGUMENTS OF BOTH THE PARTIES AND PERU SED THE MATERIAL AVAILABLE ON RECORD. 5. THE ADDITION OF RS. 6,99,60,000/- WAS EARLIER MA DE IN THE ORDER PASSED U/S 143(3). THE SAME ORDER HAS BEEN AP PEAL BEFORE THE ITAT AND THE ADDITIONS MADE THEREOF ALRE ADY STANDS DELETED BY THE ORDER OF THE CO-ORDINATE BENCH OF IT AT IN ITA NO.2263/DEL/2013. 6. THE ASSESSING OFFICER HAS REPEATED THE SAME ADDI TIONS IN THE ORDER PASSED U/S 153A. THE LD. CIT(A) DELETED T HESE ITA NO. 284/DEL/2017 A.R. LEASING PVT. LT D. 3 ADDITIONS AS THESE ADDITIONS STANDS DELETED BY THE ITAT IN ITA NO.2263/DEL/2013. SINCE, THE ADDITION MADE U/S 143( 3) HAS BEEN REPEATED IN THE ORDER PASSED U/S 153A AND KEEP ING IN VIEW THE FACT THAT THE ADDITION MADE U/S 143(3) STANDS D ELETED, WE HEREBY DECLINE TO INTERFERE WITH THE ORDER OF THE L D. CIT (A). 7. SIMILARLY, THE ISSUE OF ADDITION RELATED TO SECT ION 14A HAS BEEN SEND BACK TO THE ASSESSING OFFICER BY THE CO-O RDINATE BENCH OF ITAT, IN ITA NO.2263/DEL/2013. SINCE THESE ARE REPETITIVE ADDITIONS MADE IN THE ORDER PASSED U/S 1 43(3) AS WELL AS 153A, WE HEREBY DECLINE TO INTERFERE WITH THE OR DER OF THE LD. CIT (A) ON THIS ISSUE. 8. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISMISSED . ORDER PRONOUNCED IN THE OPEN COURT ON 05/11/2019 SD/- SD/- (SUSHMA CHOWLA) (DR. B. R. R. KUMAR) JUDICIAL MEMBER ACCOU NTANT MEMBER DATED: 05.11.2019 *SUBODH* *KAVITA ARORA COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITA NO. 284/DEL/2017 A.R. LEASING PVT. LT D. 4